Did you just buy a property and begun making mortgage payments on your home purchase? Mortgages come with strict monthly payments that need to be paid for the entire term. Though you may not do it on purpose, missing a mortgage payment is common among borrowers. The repercussions of missing a mortgage payment may include fines, additional fees, and even home foreclosure risk.
There is usually no consequence if you miss a day or two of your mortgage payment. The adverse effects usually begin at day 15. Your credit score may suffer after 15 to 30 days. After 30 days, late fees will begin to apply.
If your payment is 45 days overdue, most lenders will then designate an investigator to investigate your account. When the 90 day period has passed, not only will your credit score suffer, but you also run the risk of losing your property. Once the 120-day mark is missed, foreclosure may happen, however this depends on your lender.
Mortgage Advice For A Missed Payment
Making the payment as soon as possible is the best course of action if you have fallen behind on your mortgage. You shall be responsible for paying both if you are unable to make it by the late period deadline and must wait until the following month when your next payment is due. You can prevent further late fines and penalties by making your complete payment.
If you have to skip a payment, your lender could often be open to working out a plan. Lenders could offer choices to modify your existing plan in order to take your financial circumstances into account.
How Can I Make Sure I Do Not Miss a Mortgage Payment?
One of the best ways to ensure you are prepared for your mortgage payments is to be aware of the details of your mortgage. Our mortgage brokers in Abbotsford are here to help you understand the ins and outs of your mortgage and help you stay prepared for the future.
Some tips to making sure that you’re not late include:
- Setting up your account to have your lender automatically withdraw payments
- Setting up early reminders of due dates
How Can Sandhu & Sran Mortgages Help?
Understanding how your mortgage works will greatly benefit your financial future. At Sandhu & Sran Mortgages, we know your financial concerns and help you get an easy mortgage. Not only this, we remind you of any payment dates you miss, so that you can save your dollars on penalties.
If you are planning to get a residential mortgage in Abbotsford or looking to refinance or renew, we got you covered. Feel free to contact us to discuss your mortgage queries.